In some cases, companies can apply for turnover tax, as long as they meet the requirements as set out by tax. This means that the company is taxed based on the turnover and not the nett profit. The criteria is based on the business activity and turnover. When a company is registered for turnover tax, the tax rate is applied as follows:

R -R335 000 – 0%
R335 001 – R500 000 – 1% of each R1 above R335 000
R500 001 – R700 000 – R1650 + 2% of the turnover above R500 000
R700 001 and above – R6 650 + 3% of the turnover above R700 000

To find out whether your company qualifies for turnover tax, please complete the form below. We will then do an assessment and communicate the outcome to you.